Ryanair profit soars 40% to record €2.26bn as higher fares offset Boeing delays and fuel risks

Ryanair reported record annual profits for FY2025/26, with net profit rising 40% to €2.26bn despite delayed aircraft deliveries from Boeing. Passenger numbers grew 4% to 208.4 million, while average fares rebounded strongly after last year’s declines.

Key results

• Revenue increased 11% to €15.54bn.
• Passenger traffic rose 4% to 208.4 million.
• Revenue per passenger increased 7%, driven by 10% higher fares.
• Operating costs rose only 6%, keeping unit cost growth to 1%.
• Load factor remained exceptionally high at 94%.

The airline said profits benefited from stronger ticket pricing, continued ancillary revenue growth, and tight cost control, even as fuel and maintenance expenses began to rise.

Fuel and geopolitical concerns

CEO Michael O’Leary warned that conflict in the Middle East and uncertainty around the Strait of Hormuz are pushing jet fuel prices sharply higher. However, Ryanair says its fuel hedging strategy — with 80% of FY27 fuel needs locked in at about $67 per barrel — should protect profitability better than many rivals.

The company also warned that rising EU environmental taxes, higher crew costs, and engine maintenance expenses could push unit costs up by a “mid-single digit” percentage this year.

Expansion continues despite aircraft shortages

Ryanair ended the year with 647 aircraft, including all 210 Boeing “Gamechanger” 737-8-200 jets. The airline still expects passenger growth to 216 million in FY27 and reaffirmed long-term ambitions to exceed 300 million passengers annually by FY34.

The carrier said limited aircraft availability across Europe is helping sustain higher fares and strengthening its competitive position against weaker airlines struggling with fuel costs and delivery delays.

New growth is being concentrated in lower-tax markets such as Albania, Italy, Morocco, Slovakia and Sweden, while capacity is being reduced in “high-tax” countries including Belgium, Germany, Austria and parts of Spain.

Financial position and shareholder returns

Ryanair said it will become effectively debt-free after repaying its final €1.2bn bond this month. The group finished the year with €2.1bn net cash and announced:

• a final dividend of €0.195 per share,
• continuation of its €750m share buyback programme,
• and plans to rebuild cash reserves to €4bn.

CEO contract extension under discussion

The board is close to agreeing on a contract extension for Michael O’Leary until 2032. The proposed package includes options over 10 million shares, exercisable only if ambitious profit or share-price targets are achieved.

Outlook cautious despite strong demand

Ryanair said summer 2026 demand remains solid, but bookings are coming later than usual, reducing visibility. The airline now expects Q1 fares to fall modestly year-on-year and says it is too early to provide full FY27 profit guidance because of uncertainty around fuel prices, geopolitical tensions and consumer spending.